U.S. Development of Smart Grid Three-pronged Approach

Recently, negative news about US smart grid construction projects has been increasing. For example, the construction cost far exceeds the initial budget, and consumers complain that the installation of smart meters in the home has increased electricity bills.

However, based on this information alone, it is still too early to say that the "US smart grid project is unfavorable." In fact, if you can visit the local smart grid construction project in person in the United States, from the hot scene and the degree of emphasis, you can see that the United States hopes to grasp the “hegemony” in the energy field as it does in the Internet field. The reason that the United States has developed so rapidly in the Internet field and grasped the dominance is mainly due to three reasons, including strong government support, standardization of technology, and the participation of new members in accelerating market formation. In fact, similar rules have been followed in the construction of smart grid projects in the United States.

Financial subsidy smart grid

Not long ago, Kristina Johnson, Deputy Secretary of Energy of the US Department of Energy, delivered a speech at the seminar of the American Wireless Communications Exhibition: "The good news is that the U.S. power grid has become the number one innovation of the 20th century; but there is also bad news, that is, it The speed of development is really too slow."

Johnson's emphasis is also what the Obama administration is concerned about. The modernization of power grid construction is of primary importance to the United States. Smart grids will help consumers save money while enabling them to monitor their energy use. Smart grids also enable utilities to obtain real-time information and respond to emergencies such as power outages. According to relevant reports, the installation of 2 million smart meters will save US consumers billions of dollars in a year.

In February 2009, the "American Recovery and Reinvestment Law," which was passed shortly after the Obama administration was established, launched a $787 billion economic stimulus plan, of which $4.5 billion was earmarked to support the development of smart grids. In addition to direct investment, the U.S. government has also introduced a series of smart subsidy-related fiscal subsidies such as subsidy and tax relief for the purchase of solar photovoltaic systems and electric vehicles, as well as building energy conservation and reconstruction.

The U.S. government also has strong support for basic research. For example, government research institutes such as the National Renewable Energy Laboratory and the Battelle Institute in Ohio have strongly supported smart grid projects.

Speed ​​up standardization

The National Institute of Standards and Technology (NIST) affiliated to the United States Department of Commerce is the main body. The U.S. government departments have studied various technical standards such as interoperability and network security of the smart grid.

On January 19th this year, NIST announced the standardization framework for the “smart grid” of a new generation of transmission grids – with 75 standard specifications, standards, and guidelines clearly defined. Among them, 25 specifications and standards were determined before the announcement. The 25 standards include ZigBee's Smart Energy Profile, a technology that enables two-way wireless communication between smart meters and home appliances.

A detailed schedule for the formulation of the detailed content of the 50 other specifications has been given a schedule concerning the purpose, assumptions, standards specifications and specification plan development period of the smart grid. In the future, smart grid related equipment and devices in the United States must meet the standard specifications in the framework. The framework is characterized by "emphasis on interconnectivity and security." The framework defines the smart grid as consisting of seven areas. These seven areas are power stations, transmission grids, distribution networks, managers, suppliers, general customers and markets.

NIST is rapidly advancing standardization. On September 2, 2010, NIST released the "Network Security Guide (First Edition)", but this is only a starting point. To realize a smart grid, hundreds of standard specifications and guidelines need to be developed.

New members promote market formation

These new members are led by IT companies and high-tech companies. The main force of the smart grid construction project is ostensibly an electric power company or a local government. However, it is actually dominated by large-scale IT companies that have branch offices all over the world, high-tech companies that have core technologies in specific fields, and non-profit organizations. These U.S. companies or organizations all have strong global business divisions.

For example, Accenture Corporation, which is engaged in IT consulting business, undertook project management of Smart Grid City, a pilot project of the smart grid in Boulder, Colorado, and projects in Amsterdam, Japan and the Yokohama Smart City project in Japan. IBM in the United States provides intelligence in major cities around the world. City consulting and IT services.

High-tech companies, the most famous is the United States SilverSpringNetworks. The company provides power companies with solutions for the construction and operation of advanced meter infrastructure (AMI) for the smart grid. The company is funded by a number of large high-tech companies, and its executive vice president and chief marketing officer said: "Power companies now have a need to build a smart grid." California Energy giant Pacific Gas and Power Company (PG & E) is the company customer of. PG&E has deployed about 7 million smart meters in northern California. SilverSpringNetworks also offers AMI solutions for Canada and Australia.

Among the new members is not only IT companies or high-tech companies. The American Non-Profit Organization (NPO) also recently demonstrated its absolute strength in the smart grid. In this area, the United States has many business NPOs that are no less than the scale and volume of private enterprises.

The United States EnterpriseCommunityPartners is such a business-oriented NPO, it is committed to providing low-rent housing services in the United States. Relevant experts pointed out that under the smart grid construction opportunity, if low-income groups with weak housing purchasing ability choose low-cost housing and begin to use large-scale energy-saving and environmental protection materials and equipment, they will open up a huge energy-saving and environmental protection market. In other words, the development of a smart grid not only has the effect of carbon dioxide emission reduction, but also accelerates the recovery of construction investment.

Reporter observation

Development of smart grid government indispensable

In its infancy, the Internet has always been supported by the National Science Foundation. Through an open organization called the IETF (Internet Engineering Task Force), the US Internet sector has standardized new technologies and built a series of system frameworks. In the time, it has expanded its influence to the whole world. Today, the U.S. government that has tasted "better" still hopes to achieve its "hegemony" in the field of smart grids through its strong involvement.

We see that soon after the Obama administration was established, the "American Recovery and Reinvestment Law" was passed, and $4.5 billion of it was earmarked to support the development of smart grids. At the same time, research on smart grid technology standards is being accelerated. The experience of the United States tells us that the development of smart grids is indispensable to the government.

Developing a smart grid strategy is not something that can be done by grid companies, planning agencies, and research institutes. In developed countries such as the United States and Japan, the smart grid strategy has become an important national strategy. It is formulated and promoted by the government and related forces under the unified leadership and support of the government. The smart grid strategy has become an important strategic measure for them to seize the commanding heights of the future low-carbon economy. China's smart grid strategy must also be a national strategy. It needs to set national forces under the guidance of the government to formulate and promote development. Because China's development of smart grids is more complicated and the situation is more complex than that of developed countries. The “wrestle” between China and other countries in the development of smart grids is not only an overall strength and competition for the commanding heights of the future low-carbon economy, but also the need to promote sustainable economic development and ensure future energy security.

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